Relating to the authority of a political subdivision to establish and operate a guaranteed income program.

SB 395 prohibits Texas cities and counties from creating new guaranteed income programs that provide unconditional cash payments to residents. The bill defines such programs as those where individuals receive regular cash payments without requirements like job training or employment. It allows existing programs enacted before the law's effective date to continue until January 1, 2026, or until their original expiration. The law takes effect immediately if passed with a two-thirds vote, otherwise on September 1, 2025.